A Higher Interest Rate

question 14

Multiple Choice

A higher interest rate

• A)causes the exchange rate to increase, which causes the share of net exports to rise.
• B)causes the exchange rate to fall, which results in a decline in the share of net exports.
• C)causes the exchange rate to fall, which causes the share of net exports to rise.
• D)causes the exchange rate to increase, which results in a decline in the share of net exports.
• E)has an uncertain effect on both exchange rates and the share of net exports.

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Definitions:

Reaction

A process in which one or more substances (the reactants) undergo chemical change to form new substances (the products) with different physical and chemical properties.

Platinum Catalyst

A catalyst containing platinum, utilized in various chemical reactions, including hydrogenation and oxidation, due to its excellent ability to facilitate bond formation and breakage.

(E)-

A stereochemical descriptor indicating that two substituents are on opposite sides of a double bond or around a central atom in a molecule.

(Z)-Hex-3-Ene

A specific geometric isomer of hex-3-ene where the two highest priority substituents on either end of the carbon-carbon double bond are on the same side.